Demand for Warehouse Labor Increasing with the Holiday Season Approaching

Many companies are already adding thousands of warehousing jobs in preparation of the fast-approaching holiday season, especially in e-commerce fulfillment and distribution centers. The majority of shoppers still have concerns about COVID-19 and in-person shopping, so it is safe to assume that there will be elevated e-commerce traffic and sales. This rise in e-commerce is making the warehouse industry busier and more profitable.

Surge in Online Sales

Companies are anticipating a holiday season surge in online sales, and warehousing and storage payrolls increased by 32,200 jobs in September. This increase followed the addition of 34,400 jobs in August, as retailers and logistics operators stated they need to hire large numbers of seasonal staff for the upcoming holiday season.

Jeff Kaiden, the chief executive of Capacity LLC, said he believes there has been a 500% uptick in e-commerce business since March and that this increase has been a steady and ongoing spike. Kaiden explained further how his company has had to bring on 30% more warehouse workers for the peak season compared to last year. Accenture PLC found that 75% of U.S. consumers would do at least some of their holiday shopping online, and that 43% of survey respondents said they planned to only shop online this season.

Increased Need for Workers

As a result, retailers and logistics companies will have to increase staff accordingly. However, finding seasonal employees has become increasingly difficult despite unemployment rates being higher than ever.

This can be largely attributed to worker safety concerns amid the COVID-19 pandemic. People are reluctant to work when there are serious health concerns, and companies are not able to fill their staffing needs fast enough. Prologistix estimated that it will take at least $19 per hour to get workers interested. Warehouse managers may have to offer competitive wages to get the number of employees needed to fully prepare for the holiday season.

There is a gamble in deciding how many workers to add to your workforce, as too few won’t be able to keep up with product demand, and too many employees will be difficult to properly manage.

Fortunately, HapiGig offers an easy, one-stop-shop solution to these anticipations. Our platform connects you with as many qualified and trained warehouse workers as you need and can help your business operate smoothly through the upcoming holiday season, regardless of its uncertainties. Consider registering as a HapiEmployer today to start exploring your options for fast and reliable flex labor.

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